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Thread: Braves extend Acuña with 8 year deal

  1. #221
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    Regardless of the agent the deal is done now and signed off on by both parties. I hope we can get Albies locked up to something cheap soon. Having cost certainly like we are getting (especially from our best players) will help us to have a better understanding on what we can do to sign another big contract player or what we can take on in a trade.

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    If you think about it, Eloy was only giving away one year.

    If he didn't agree to the extension, they'd have started him in the minors and kept seven years of control rather than the eight they got.

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    Quote Originally Posted by nsacpi View Post
    Try Gatemore Sports

    https://www.prnewswire.com/news-rele...300790437.html

    doesn't sound like a fly by night operation, but maybe Salazar was a bit too eager to get the deal done...sometimes it is the agent sometimes it is the client...hard to say...I wonder if Acuna's veteran teammates ever had "the talk" with him
    I mean Freddie would probably encourage him to sign a team friendly deal since he did the same thing.

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    Quote Originally Posted by nsacpi View Post
    Try Gatemore Sports

    https://www.prnewswire.com/news-rele...300790437.html

    doesn't sound like a fly by night operation, but maybe Salazar was a bit too eager to get the deal done...sometimes it is the agent sometimes it is the client...hard to say...I wonder if Acuna's veteran teammates ever had "the talk" with him
    i found the gatemore sports thing...just couldn't find any "rumors" about them, or salazar specifically.
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    Quote Originally Posted by Orphan Black View Post
    I mean Freddie would probably encourage him to sign a team friendly deal since he did the same thing.
    Braves extended Freddie to avoid arb1 didn't they?

    Braves got four years of control at 21-22m a pop in 2014 as opposed to four years of control at 17m a pop in 2019 for Acuna.

    think Freddie had had 2 all star level seasons, maybe just one appearance, rather than just the one. and he was closer to making money so I guess he had more leverage. But maybe the lesson is wait a bit until you get more leverage.

    Have seen some folks saying that maybe the Braves had a take it or leave it on this deal and I just can't believe that's true. Way too many better deals for Acuna that would have still been no brainers for Atlanta I think.

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    Quote Originally Posted by Southcack77 View Post
    But maybe the lesson is wait a bit until you get more leverage.
    For precisely that reason this was the right time from the club's perspective. They take some risk, but they are able to parlay that into a better deal with the player.
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    Quote Originally Posted by nsacpi View Post
    For precisely that reason this was the right time from the club's perspective. They take some risk, but they are able to parlay that into a better deal with the player.
    It doesn't take any skin off my nose that he's only getting guaranteed 100m.

    As a braves fans my loyalties are pretty clearly are for whatever seems to give the Braves the best chance to win and underpaying Acuna seems like a good thing.

    But man, I don't understand what he was thinking. Yes, he takes a catastrophe off the table. Even though that was a very low probability thing to happen, I can understand opting for certainty. But there just wasn't a lot of reason to so dramatically cut your ceiling of earning potential. You could have gotten forever money giving away a lot less.

    Realistically, the Braves would likely have done something less. They have to calculate that they'd have likely saved money by limiting their exposure to arbitration and getting any more control than they already had at these kinds of numbers would have been worth it in the end.

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    I wonder how much his homeland situation played into getting a deal done now.

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    Quote Originally Posted by thewupk View Post
    I wonder how much his homeland situation played into getting a deal done now.
    That is what I was thinking. It could be that he wanted more of a monetary guarantee so that he could afford to get his family out of that hell hole.

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    Interesting stuff from Rosenthal:

    Earlier in his career, according to sources, he had received a loan, believed to be approaching $10 million, from RockFence Capital, a company that provides financial products to players that hedge against long-term performance risk.

    If a player reaches the majors, he pays back the loan at a high-interest rate. If not, he owes the company nothing. The RockFence arrangement is strictly a loan, as opposed to other deals with companies that advance players money in exchange for a percentage of future earnings.

    The extension will enable Acuña to pay back the loan faster, and perhaps on more favorable terms. Some players, however, use such third-party money as an alternative to club-friendly extensions, a buffer that enables them to explore arbitration and free agency. The amount they lose paying back the loan might be smaller than the amount they sacrifice in a below-market deal.

    But there are also other layers to these decisions.

    Many on the players’ side believe some teams circumvent the player and his agent and communicate directly with parents and other family members, particularly in the cases of Latin American players from humble backgrounds. The extent to which family pressure might have influenced Acuña is not known. But the effect of such pressure in some instances cannot be discounted – particularly when a team dangles a $100 million guarantee.

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    Quote Originally Posted by CJ9 View Post
    Interesting stuff from Rosenthal:

    Earlier in his career, according to sources, he had received a loan, believed to be approaching $10 million, from RockFence Capital, a company that provides financial products to players that hedge against long-term performance risk.

    If a player reaches the majors, he pays back the loan at a high-interest rate. If not, he owes the company nothing. The RockFence arrangement is strictly a loan, as opposed to other deals with companies that advance players money in exchange for a percentage of future earnings.

    The extension will enable Acuña to pay back the loan faster, and perhaps on more favorable terms. Some players, however, use such third-party money as an alternative to club-friendly extensions, a buffer that enables them to explore arbitration and free agency. The amount they lose paying back the loan might be smaller than the amount they sacrifice in a below-market deal.

    But there are also other layers to these decisions.

    Many on the players’ side believe some teams circumvent the player and his agent and communicate directly with parents and other family members, particularly in the cases of Latin American players from humble backgrounds. The extent to which family pressure might have influenced Acuña is not known. But the effect of such pressure in some instances cannot be discounted – particularly when a team dangles a $100 million guarantee.

    Rosenthal really likes to insinuate bad things about the Braves. I guess sometimes he is right.

    Seems a little cheap here.

    that's crazy that someone would lend a minor leaguer up to 10m with the possibility of simply walking away from those dollars if he doesn't make the majors. Seems like there are some details missing there.

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    Quote Originally Posted by CJ9 View Post
    Interesting stuff from Rosenthal:

    Earlier in his career, according to sources, he had received a loan, believed to be approaching $10 million, from RockFence Capital, a company that provides financial products to players that hedge against long-term performance risk.

    If a player reaches the majors, he pays back the loan at a high-interest rate. If not, he owes the company nothing. The RockFence arrangement is strictly a loan, as opposed to other deals with companies that advance players money in exchange for a percentage of future earnings.

    The extension will enable Acuña to pay back the loan faster, and perhaps on more favorable terms. Some players, however, use such third-party money as an alternative to club-friendly extensions, a buffer that enables them to explore arbitration and free agency. The amount they lose paying back the loan might be smaller than the amount they sacrifice in a below-market deal.

    But there are also other layers to these decisions.

    Many on the players’ side believe some teams circumvent the player and his agent and communicate directly with parents and other family members, particularly in the cases of Latin American players from humble backgrounds. The extent to which family pressure might have influenced Acuña is not known. But the effect of such pressure in some instances cannot be discounted – particularly when a team dangles a $100 million guarantee.
    Acuna's father was quoted last year as being receptive to a long-term deal. A lot of things played into this and the Braves ended up being in the right place at the right time.
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    Quote Originally Posted by Southcack77 View Post
    Rosenthal really likes to insinuate bad things about the Braves. I guess sometimes he is right.

    Seems a little cheap here.

    that's crazy that someone would lend a minor leaguer up to 10m with the possibility of simply walking away from those dollars if he doesn't make the majors. Seems like there are some details missing there.
    It is a great deal for the Braves. Even so there is some downside risk. If Acuna turns out to be an MVP type player, the team should probably renegotiate terms at some point. Sort of like how the Astros did with Altuve.
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    Quote Originally Posted by nsacpi View Post
    It is a great deal for the Braves. Even so there is some downside risk. If Acuna turns out to be an MVP type player, the team should probably renegotiate terms at some point. Sort of like how the Astros did with Altuve.
    If Acuna turns out how everyone thinks he will, i think that will happen but thats a long way from now.

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    Quote Originally Posted by nsacpi View Post
    It is a great deal for the Braves. Even so there is some downside risk. If Acuna turns out to be an MVP type player, the team should probably renegotiate terms at some point. Sort of like how the Astros did with Altuve.

    They can always buy out two-three more years in exchange for paying him a little more fairly, but not sure that's actually helping him all that much.

  17. #236
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    Quote Originally Posted by Enscheff View Post
    The deal probably breaks down roughly as follows:

    2019 (21): $560k (pre-arb 2, no signing bonus reported)
    2020 (22): $1M (pre-arb 3)
    2021 (23): $5M (arb 1)
    2022 (24): $9M (arb 2)
    2023 (25): $13M (arb 3)
    2024 (26): $17M (arb 4)
    2025 (27): $23M (FA 1)
    2026 (28): $23M (FA 2)
    2027 (29): $17M option, $10M buyout (FA 3)
    2028 (30): $17M option, $10M buyout (FA 4)
    Actual breakdown:

    2019 (21): $1M (pre-arb 2)
    2020 (22): $1M (pre-arb 3)
    2021 (23): $5M (arb 1)
    2022 (24): $15M (arb 2)
    2023 (25): $17M (arb 3)
    2024 (26): $17M (arb 4)
    2025 (27): $17M (FA 1)
    2026 (28): $17M (FA 2)
    2027 (29): $17M option, $10M buyout (FA 3)
    2028 (30): $17M option, $10M buyout (FA 4)

    Interesting to see so much money pushed into 2022 and 2023 compared to how he was projected to be paid through the arbitration process.

    Seems like someone really needed to get cash in 2022, and sacrificed a lot of future earnings to make it happen.
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  18. #237
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    Boras pointing out the Acuna deal, has come up with a new phrase for these types of contracts. "SNUFF"

    From MLBTR

    Agent Scott Boras, who brought you the term “swellopt,” has now concocted a phrase to describe team-friendly extensions young major leaguers sign, per Andy McCullough of the Los Angeles Times. “Great young players are getting what I call ‘snuff contracts,’” Boras told McCullough. “And a snuff contract is that they’re trying to snuff out the market. They know the player is a great player, and he’s exhibited very little performance. So they’re coming to him at 20 and 21, and I’m going to snuff out your ability to move, to go anywhere, to do anything, and your value. And I’m going to pay you maybe 40 cents on the dollar to do it. What’s my risk?” In Boras’ estimation, the eight-year, $100MM guarantee Braves star Ronald Acuna Jr., 21, signed this week is “the king of the snuff contracts,” as it hampers the outfielder’s career earning power while giving Atlanta what looks like a sweetheart deal for a franchise player in the making.

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    Quote Originally Posted by Enscheff View Post
    Actual breakdown:

    2019 (21): $1M (pre-arb 2)
    2020 (22): $1M (pre-arb 3)
    2021 (23): $5M (arb 1)
    2022 (24): $15M (arb 2)
    2023 (25): $17M (arb 3)
    2024 (26): $17M (arb 4)
    2025 (27): $17M (FA 1)
    2026 (28): $17M (FA 2)
    2027 (29): $17M option, $10M buyout (FA 3)
    2028 (30): $17M option, $10M buyout (FA 4)

    Interesting to see so much money pushed into 2022 and 2023 compared to how he was projected to be paid through the arbitration process.

    Seems like someone really needed to get cash in 2022, and sacrificed a lot of future earnings to make it happen.
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